Mr Halliday said: “It my belief that a district council is about the power to make decisions – and the ability to influence those making the decisions that influence our residents’ lives.

“My actions also reflect the common ethos during recession that most of us are working harder, for longer and in some cases for less.”

He said he was taking on a dual role – and retaining his finance brief – as it would show poor leadership to walk away from what is a difficult budget process.

Ivan Henderson, opposition leader at TDC, said: “We welcome the reduction in the cost of the cabinet which we have been calling for since September last year. But the decision by Cllr Halliday to reward failure by retaining Tory councillors who in my view have not performed in the old cabinet calls into question the new leader’s judgement.”